Snap AV: Fantasy investing
Exactly what it says on the tin, from Citi in a note entitled “Living the Dream; Owning the FANTASY”....MORE
In our opinion, the powerful growth stories centered on software, social media and the spread of technology into all aspects of daily living have blossomed and captured investors’ imaginations. The Street has become enamored with what we have dubbed the FANTASY stocks, which have added about $380 billion to the S&P 500’s market cap (ex-Tesla) thus far this year, accounting for roughly 23% of the market cap gain of the index. But, it is not a fair statement since other names like Exxon have dropped meaningfully dragging down the index while Wynn Resorts has pulled it higher. Note that more than half of the S&P 500 constituents have beaten the market year to date and 30% have generated negative returns. Accordingly, there have been far more winners than losers in 2017 thus far....